Outpatient Surgical Centers Industry Profile

Companies in this industry provide surgical and emergency care services for ambulatory patients in standalone facilities that are outfitted with operating and recovery rooms; they do not offer overnight or long-term hospital care. Major US companies include AmSurg, Symbion, and United Surgical Partners International, as well as the outpatient surgical operations of major hospital chains such as Tenet Health Care and Trinity Health.

Demand for outpatient or ambulatory surgery centers (ASCs) is growing in Europe, India, and other parts of the world. Since many countries have national health care systems, outpatient surgery is increasingly being offered by the country's hospital system. However, in India and other developing markets some private companies operate health care facilities that accept private insurance or a fee for services. With demand for outpatient surgery rising and competition increasing among US outpatient surgery centers, companies could consider the overseas market for expansion opportunities.

The US outpatient surgical center industry includes about 3,500 companies that operate about 5,000 centers and have combined annual revenue of about $18 billion. The industry is expected to experience high growth over the next two years, driven largely by patients seeking lower-cost alternatives to hospital care.

COMPETITIVE LANDSCAPE

Demand is linked to the number of people receiving medical care. The profitability of individual centers depends on efficient operations and good marketing. Companies that operate multiple locations may enjoy some economies of scale ...